HB 2858-S - DIGEST

(DIGEST AS ENACTED)

     Revises RCW 82.44.023 relating to payment of taxes on rental cars.

     Provides that, when a rental car ceases to be used for rental car purposes the year and month tabs on the license plates shall be altered by the rental car company in such a manner as to render the plate void of any designation of month and year.  The department of licensing shall, by rule, set forth the process of alteration and shall provide at no cost to the rental car company, any materials necessary to render the plate void of any designation of the month and year tabs.  At the time of retail sale, motor vehicle excise tax and applicable licensing fees will be collected for a full twelve months.

     Directs the vehicle services division of the department of licensing to convene a study group to include representatives from the department of licensing, the department of revenue, the rental car industry, and the franchised vehicle dealers industry.

     Directs the study group to conduct an assessment of the registration year impact during the period of January 1, 1997, through July 1, 1999, upon the requirements of RCW 46.16.006, 82.08.020, and chapter 82.44 RCW and whether the tax rate currently set on car rental transactions provides revenue neutrality.

     Requires a report by December 31, 1998.